General Dynamics awarded $174.5 million contract by U.S. Navy

General Dynamics Electric Boat has been awarded a $174.5 million contract modification by the U.S. Navy to provide lead-yard services for Virginia nuclear-powered submarines.

The contract could be worth as much as $881 million through 2014 if all options are exercised and funded.

Electric Boat, a wholly owned subsidiary of Falls Church-based General Dynamics, will maintain and update design drawings and data, including technology insertions, for each Virginia-class submarine through its construction and after test cruises.

The company will also perform the research and development required to evaluate new technology for newly built Virginia-class ships.